Why the Mobile, AL Real Estate Market Feels Slow and Weird in 2025
Why Does the Market Feel Weird?
If you’ve been buying or selling a home in Mobile lately, you might be wondering: Why does the market feel so slow? Homes are sitting longer, price trends look inconsistent, and the overall vibe is… well… different.
You’re not imagining it—Mobile’s market is behaving in ways that don’t match the “fast and furious” days we saw just a few years ago. Here’s what’s going on.
1. Prices Are Rising… But Not Everywhere
In July 2025, the median sale price in Mobile was about $217,750, a 5.7% jump from last year. Realtor.com shows median listing prices even higher at around $255,000.
But here’s the twist—Zillow data shows the average home value actually dipped 0.8% over the past 12 months. That means the market’s not moving in one clear direction. Some neighborhoods are heating up, while others are cooling off.
2. Homes Are Sitting on the Market Longer
A year ago, homes were flying off the market in about 32 days. Now, the average is closer to 43 days—a jump of more than 30%. Zillow data backs this up, showing a median of 27 days to go pending.
Why does that matter? The longer a home sits, the more buyers hesitate, and the more “slow” the market feels, even if transactions are still happening.
3. Alabama’s Affordability Draws More Investors
With a statewide median price around $220,000—less than half the national average—Alabama is officially the most affordable state to buy a home. That’s good news for local buyers, right?
Not always. This affordability has caught the attention of institutional investors, who made up nearly 11% of all home purchases in Alabama during Q1 2025. Investors often pay cash and can outcompete everyday buyers, or hold homes as rentals, keeping inventory off the open market.
4. Inventory Is Balanced—but Not Always Buyer-Friendly
Mobile currently has over 1,100 homes for sale, a moderate supply. More than half of recent sales—about 54%—closed below asking price.
That may sound like good news for buyers, but it often signals slower negotiations and cautious pricing strategies. Sellers are having to adjust expectations, and buyers are taking their time.
5. Mortgage Rates Are Drifting Lower
Mortgage rates have edged down from their recent highs and could settle around 5.5%, which is historically still reasonable. Lower rates should, in theory, bring more buyers back—but with economic uncertainty and investor competition, the market isn’t snapping back overnight.
So… What’s the Bottom Line?
The Mobile real estate market isn’t “crashing,” but it’s transitioning. Affordability, investor presence, and longer selling times are creating a slower, more uneven pace.
For buyers, this means more room to negotiate—but patience is key.
For sellers, realistic pricing and standout marketing are more important than ever.
Final Takeaway: Mobile’s 2025 market might feel weird, but it’s still one of the most affordable and opportunity-rich housing markets in the country. The key is knowing how to navigate it.
Don't Be Scared of the Market
Thinking about buying or selling in Mobile? Don’t let the slow market slow you down—opportunity is still out there for those who know where to look. Let’s talk strategy and make your move with confidence!
